BONUS SHARE PLAN

Whitefield’s Bonus Share Plan [BSP] allows Ordinary Class shareholders to forgo some or all of their dividend entitlement and instead be issued with additional Ordinary Shares equivalent in value to the foregone dividend.

The price at which shares are issued under the Bonus Share Plan is the weighted average market price of Whitefield’s Ordinary shares over the 5 trading days subsequent to the ex-dividend date of the Ordinary Shares (as detailed in the BSP Terms) less any discount applicable to the BSP as advised by the company from time to time.

Under Australian Tax Legislation, shares allotted under the BSP should not be deemed to be a dividend and in most circumstances should not be subject to Australian income tax at the time of allotment. By forgoing their dividend a participating shareholder will also not be entitled to franking credits or LIC Discount Capital Gain deductions to which they would otherwise have been entitled had the dividend been taken in cash. For Australian income tax purposes, shares issued under the BSP will affect the tax cost and taxable gain or loss on the subsequent disposal of any shares allotted under the BSP and the participating shares in relation to which the Bonus Shares were allotted.

While Whitefield is not able to provide income tax advice to specific shareholders, the Bonus Share Plan may be of interest to shareholders wishing to accumulate more Whitefield Ordinary Shares and who are subject to high marginal tax rates. Similarly in some circumstances the BSP may not suit the requirements of superannuation shareholdeers or those subject to lower marginal tax rates. However, each shareholder's tax circumstances are different. Accordingly, it is extremely important for shareholders to consider their individual tax circumstances when assessing whether to particiapte in the BSP. Whitefield does not warrant that participants in the BSP will gain any taxation advantage by participating in the BSP and recommends shareholders obtain professional taxation advice.

Shareholders may elect to participate in Whitefield’s BSP by updating their BSP Participation either via submission of a hard copy form available from the Share Regisry or via the internet by visiting www.investorcentre.com.